China Automobile Research (601965)： Q3 performance growth increased by 16%, improved as scheduled, and continued to accelerate

China Automobile Research (601965): Q3 performance growth increased by 16%, improved as scheduled, and continued to accelerate

The technical services business boosted the company’s Q3 performance by 16%, a significant improvement from Q1 / Q2. According to the financial report, the company’s revenue in the first three quarters was 16.

9 trillion, down 15 a year.

9%, of which the parent company’s main technical service business revenue in the first three quarters7.

40,000 yuan, an increase of 16 in ten years.

1%; net profit attributable to mothers in the first 3 quarters2.

870,000 yuan, an increase of 11 in ten years.

3%, of which the parent company’s net profit is 2.

64 ppm, an increase of 14 in ten years.

1%.

Company Q3 revenue 6.

1 ppm, a ten-year increase of 8.

8%, of which the parent company’s revenue is 2.

90,000 yuan, an increase of 29 in ten years.

6%; Q3 returns to net profit of mother 0.

97 ppm, an increase of 15 in ten years.

9%, of which the net profit of the parent company is 0.

93 ppm, an increase of 31 in ten years.

5%.

In terms of profitability indicators, the company’s Q3 sales gross margin was 29.

Benefiting from the high performance of high gross margin technology services, the company’s third-quarter performance growth rate has significantly improved, in line with the pre-judgment in our previous report. We believe that the company will continue to benefit from new energy vehicles, policies such as emission upgrades are good, and gradually pursueSpeed up.

The company’s book cash flow situation is better, the interest rate debt rate is low and the dividend rate is further improved. The space company’s book cash flow situation is better, and the company’s monetary funds from the end of the third quarter of 2009 to 19 were 2.

0 billion to 8.

9 trillion due to payment of 18 years cash dividend2.

At the end of the fourth quarter, monetary funds at the end of the third quarter fell by 30% from the beginning of the year.

The company’s accounts receivable at the end of the third quarter4.

4 trillion, an increase of 35% over the earlier period, mainly due to the acceleration of business execution progress, part of the budget will be repaid in the fourth quarter.

The company’s long-term capital-liability ratio is less than 5%, and interest-bearing debt / total replenishment capital is only 0.

1%?
0.

2%.
At the same time, the company’s dividend rate has continued to increase in recent years. The company’s dividend rate has increased from 16% to 60% in 14-18. There is still room for improvement in the future.
Investment suggestion companies have scarce standards for automotive testing, high barriers to entry in the testing industry, and upgrades in automotive standards and regulations. The introduction of new standards will drive the company’s testing business to increase volume and price. This year’s profit growth is expected to increase quarter by quarter.Establishment of data service providers and index platforms.

We expect the company’s EPS to be zero in 19-21.

49/0.

58/0.

69 yuan, the corresponding PE is 14 based on the latest closing price.

7/12.

4/10.

4 times.

Considering the company’s profit trend and historical estimates, we give the company 23 times PE estimates for 19 years, corresponding to a reasonable value of 11.

27 yuan / share, maintain “Buy” rating.

Risks suggest that new vehicle types and policies are not progressing as expected; new projects are not progressing as expected.